Town of Gibsons councillors had a first look at preliminary budgets for the town’s water and sanitary sewer systems at a special committee of the whole meeting held Jan. 26.
Staff recommended increasing the parcel tax and user fee rate for water by five per cent in 2021, to account for inflation and asset management – continuing a yearly increase that would remain in effect until 2026, until reserve targets are met.
Another five per cent rate increase has also been recommended for sewer. That annual increase is expected to last until at least 2030 as the town continues incremental increases to achieve asset management goals.
Director of finance Lorraine Coughlin said an average residential single-family house that uses 350 cubic metres of water should expect to see about $40 above what they’re paying for water rates and another $32 for sanity sewer costs.
Staff recommended council support the revenue and rate increases, though a draft motion won’t be voted on until February, with bylaw adoption anticipated in March.
Both the water and sewer operating budgets have landed in a surplus position, with the total operating revenue for water budgeted at $1,829,982 – reflecting the proposed rate increase and “variability in terms of water consumption as the pandemic affects owners’ activities,” said Coughlin.
A big change over last year’s water operating budget is the completion of the Zone 3 water expansion. That has reduced the line item for buying bulk water from the SCRD to $58,000 from $200,000 last year, a reduced amount from 2019. The leftover money will be used to service the $3.3-million debt needed for the expansion.
Costs to service Zone 3 with aquifer water have also been added this year.
As well, a $20,000 line for water governance was added as the town works on a regional water strategy.
The sanitary sewer operating revenue is projected at $2,008,485.
New this year for the sewer operating budget is the addition of PPE costs, as well as cleaning and pump rentals due to construction delays because COVID-19. Those will be funded with $24,000 from the COVID-19 restart fund, said Coughlin.
Infrastructure services director Dave Newman walked councillors through the sewer and water capital projects at the meeting.
For sanitary 2021 projects, $909,000 has been budgeted, the largest of which is $717,000 for Prowse Road Lift Station work.
When asked for a status update on the project, Newman said COVID-19 has “sent schedules out the window” and work on infrastructure in the wet well is expected to start in February, with a rented temporary pump to be used as needed and additional cost for the project covered by COVID-19 restart funds. They hope the project will be complete by this summer.
A number of investments totalling $109,000 will be made on data technology and operational improvements for water and wastewater treatment systems.
Coun. David Croal asked whether the town has the capacity to remove micro plastics, which staff said is not possible at this time. Newman said micro plastics are not showing up in the town’s aquifer.
Croal made a motion, which passed unanimously, for staff to review procedures and technologies for removing them as part of the wastewater treatment process.
On the water side, $1,472,000 has been budgeted for projects. At $795,000, the Zone 3 Well 6 pump is the largest expense.
Newman said once Well 6 at Oceanmount Boulevard, which will service Zone 3, comes online, the town will still rely on water purchases from the SCRD for fire flows.
